Today, the Labor Department said the number of Americans who filed new applications for unemployment benefits last week rose to 302,000. Economists had expected claims to come in at 305,000. Separately, U.S. employment costs rose 0.7% in the second quarter, versus expectations of a 0.5% increase.

Time Warner Cable (TWC), being acquired by larger peer Comcast (CMCSA), continued to reap gains in Internet subscribers during the second quarter, but earnings and revenue missed expectations. The stock rose 0.05% to $151.50.

Kellogg (K) fell 1% after reporting a drop in second quarter earnings and lowering its full-year outlook amid continued struggles for company’s cereal business.

Kraft Foods (KFRT) fell 2.5% after it missed estimates by two cents with second quarter profit of 80 cents per share, and saw revenue below consensus as well. Kraft saw sales up just 0.7 percent from a year earlier, and posted a decline in its beverage segment.

Last week it looked like investors had finally shrugged off all that talk about tapering.

Well, it’s back. The Dow Jones Industrial Average fell triple digits in midday market actions as investors speculated the Federal Reserve may move to trim its stimulus earlier than some had anticipated.

Taper talk has resurfaced in abundance this week. On Monday, stronger-than-expected data on manufacturing and construction spending on underscored views the Fed may soon begin scaling the $85 billion-a-month bond-buying program credited by may for fueling the 2013 stock market rally.

To be sure, the central bank will begin to trim the stimulus at some point, though the timing remains in question. Many analysts still forecast the announcement will take place in March 2014.

The Fed has maintained it would begin to slow the program when certain economic measures meet its targets. Investors are focused on Friday’s jobs report from the Labor Department for suggestions regarding what action the Fed may take and when.

Deutsche Bank analysts Joseph LaVorgna, Carl Riccadonna and Brett Ryan wrote in a note published today:

Given the Fed’s ongoing deliberation about the timing of the QE taper, each successive employment report takes on heightened significance. As the October FOMC minutes highlighted, the taper is possible over the next several Fed meetings. In our view, the strength in the October employment report put the possibility of a December taper back on the table, after a weak September employment report had dimmed the prospects. Another month of solid job gains (inclusive of revisions) increases the probability that policymakers will taper when they meet at the December 17-18 FOMC meeting. Recall that the Fed had neither the October employment data nor the stronger-than-expected Q3 GDP report when it met last month.

Not all stocks followed the broader market down.

Apple (AAPL) rose 1.8% after an analyst at UBS upgraded the stock to a Buy and raised the price target to $650. And Tesla Motors (TSLA) soared 14.6% after a note from Morgan Stanley declared the car maker a buying opportunity.

But Yum Brands (YUM) fell 2.3% to $75.60 after it reported disappointing sales figures in China. Krispy Kreme Doughnuts (KKD) dropped 18.4% after the company made muted comments about earnings for the upcoming year.

About Stocks To Watch

Earnings reports, corporate strategies and analyst insights are all part of what moves stocks, and they’re all covered by the Stocks to Watch blog. We also look at macro issues, investor sentiments and hidden trends that are affecting the market. Stocks to Watch gives you the full picture of the U.S. stock markets, all day long.

The blog is written by Ben Levisohn, a former stock trader who has covered financial markets for the Wall Street Journal, Bloomberg and BusinessWeek.